US-based capital management company L Catterton has made a $200m strategic minority investment to support and accelerate the growth strategy of consumer goods firm The Honest Company.
The investment will be used to support The Honest Company’s new initiatives, supply chain and global reach by enabling new distribution channels and expanded market opportunities.
The Honest Company CEO Nick Vlahos said: “L Catterton is the right partner for The Honest Company based on its expertise and extensive resources, which will fuel our evolution into an iconic global brand.
“We will continue to execute against our strategy, which includes focusing our business on the baby and beauty categories. This investment will enhance our next chapter and accelerate the realisation of our vision for the future.”
Headquartered in the US, the company is realigning its business to provide more natural baby and beauty products, as well as to enhance efficiency. The company is currently planning to launch more than 80 new products, including a new diaper innovation.
L Catterton global co-CEO Scott Dahnke said: “The Honest Company has tremendous brand equity, innovative and quality products, and a loyal customer following.
“The Honest Company has evolved into a lifestyle brand and has many channels to grow in natural baby, personal care, beauty and adjacent categories in the future.”
The Honest Company also announced an exclusive retail distribution partnership with European beauty retailer Douglas, which has more than 2,500 stores.
Under the partnership, complete Honest Beauty line will be expanded to seven European countries starting next year.
